10th Dec 2010. Australia Post today announced it has purchased payment gateway company, SecurePay as part of its strategy to expand its online services. SecurePay offers commercial organisations, utilities, local government and e-merchants secure Business to Business and Business to Consumer payment services via the internet, phone, or custom software applications. Financial terms were not disclosed.
Managing Director and CEO Ahmed Fahour said, “This acquisition assists with our growth in the digital world as we move to offer everything we do in the physical world, digitally.”
“There will be no immediate change to current business arrangements for SecurePay and it will continue to operate day-to-day as a standalone entity under Australia Post ownership, led by the existing management team of CEO Rob McIntyre, Sales and Marketing Manager Ric Henderson and General Manager Payments Richard Mann.
“Acquiring SecurePay strengthens Australia Post’s capability in offering business and government customers their own online payments channel and SecurePay capability in “shopping cart” payments also positions Australia Post for the rapid growth of ecommerce in Australia.”
Australia Post acts as an agent in the physical world for 750 business and government agencies. This acquisition enables Australia Post to offer business and government customers an online payment service delivered through their own website and with their own branding. This complements its existing Australia Post branded online payment channel – Postbillpay.
SecurePay was established in 1999 as an online payment gateway provider in Australia and has around 19,000 business customers, both large and small. SecurePay has offices in Melbourne, Sydney and Adelaide and employs 60 people.
SecurePay was part-owned by mid-market private equity firm Advent Private Capital through its Advent III fund. Advent’s third fund bought a stake in the company in March 2000 and spun out e-commerce business Infodial in 2003, while bolting on new acquisitions Esec, Direct One, Maxi and Camtech.
Advent held 57.64% of the issued shares at signing. Advent Private Capital has achieved a cash multiple of 6.2 times with the sale of its investment in Securepay Holdings Pty Ltd to Australia Post.
Melbourne-based Advent has A$450m ($456m) in assets under management , which it invests in mid-market companies with enterprise values from A$50m ($51m) to A$200m ($203m).